Venture with New Zealand for Rs. 5.4b canned fish factory in Galle

Anjana Samarasinghe

COLOMBO: The Ceylon Fisheries Corporation (CFC) signed an MOU with Sprit Wind Limited, a company from New Zealand to establish a Rs. 5.4 billion canned fish factory in Galle.

Fisheries and Aquatic Resources Minister Felix Perera said this project is being set-up on the initiative of the Mahinda Chinthana.

The Government expects to equip the fisheries industry with the latest technology. There is a need for a new canned fish factory in Sri Lanka to produce more fish to the international market, he said.

CFC Chairman J. Fernando told the Daily News that they expect to begin the project in April 2007.

Sprit Wind Limited will invest Rs. 5 billion for the project while CFC will pump Rs. 400 million for the venture. CFC will provide the 20-acre land for the project in Akmeemana.

"We are targeting 1,500 direct jobs and nearly 4,000 indirect jobs through the canned fish project. CFC is expecting to commence the operations of the project in 2008," he said.

Plans are also been made to can 105 metric tonnes of tuna fish per day and process 45 metric tonnes of tuna fish per day.

Nearly 10 per cent of the total production will be used for local consumption and the balance for the export market, especially in Europe.

"We have estimated a profit of nearly USD 70 million per year through the venture," Fernando said.

Waste fish parts produced by the factory will be utilised as animal food and the new venture will produce 90 tonnes of animal feed per day.